Chart USD/CHF Update: Cautious trade
The anticipated test of congestion support at 0.8200 is giving way to a minor bounce
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.8350 | * | late-May 25 (w) high | S1 | 0.8200 | * | congestion | |
| R3 | 0.8300 | congestion | S2 | 0.8150 | congestion | |||
| R2 | 0.8265 | * | 16 Sep YTD high | S3 | 0.8100 | * | congestion | |
| R1 | 0.8250 | * | congestion | S4 | 0.8050 | break level |
Asterisk denotes strength of level
09:10 BST - The anticipated test of congestion support at 0.8200 is giving way to a minor bounce, as oversold intraday studies unwind, with prices currently trading around 0.8220. However, both daily stochastics and the daily Tension Indicator are under pressure, suggesting room for a break below 0.8200. Focus will then turn to further congestion around 0.8150. But rising weekly charts should limit any tests in renewed buying interest/consolidation.
Following cautious/corrective trade, fresh gains are looked for. A later close above the 0.8265 fresh year high of 16 September will improve sentiment and extend January gains, initially towards congestion around 0.8300.